Comcast Corp (NASDAQ:CMCSA) Morgan Stanley Technology, Media & Telecom Conference March 8, 2023 11:35 AM ET Company Participants Michael Cavanagh - President Conference Call Participants Benjamin Swinburne - Morgan Stanley Benjamin Swinburne All right, everybody. We're going to get started. For important disclosures, please see the Morgan Stanley research disclosure website at morganstanley.com. If you have any questions, please reach out to your Morgan Stanley sales rep. I'm Ben Swinburne, Morgan Stanley's ...

Summary of Alphabet Inc. Conference Call Company Overview - **Company**: Alphabet Inc. (NASDAQ: GOOG) - **Event**: Morgan Stanley Technology, Media & Telecom Conference Call - **Date**: March 8, 2023 - **Participants**: Ruth Porat (CFO), Unidentified Analyst Key Points Industry and Company Priorities - **Top Priorities for 2023**: - Invest for long-term growth - Reengineer cost structure durably - Focus areas include Search, Ads, YouTube, Cloud, and Pixel [4][8][30] AI Integration - **AI as a Core Component**: - AI underpins all major investment areas, with ongoing research and product development [4][5] - Launching LLM-based products and services, building on years of AI research [4][5][6] - **AI in Search**: - Historical use of AI in Search with RankBrain, BERT, and MUM [5][11] - Introduction of multimodal search capabilities, allowing users to combine text and images for search queries [12][13] Advertising and Revenue - **Macro Environment Impact**: - Challenging macro environment affecting ad demand, with pullbacks noted in Search and YouTube [8][9] - **Focus on ROI for Advertisers**: - Emphasis on maximizing ROI through AI tools like Performance Max [9][18] - Ongoing discussions with advertisers centered around measurable outcomes [9] YouTube and Content Strategy - **YouTube Growth**: - YouTube Shorts reached 50 billion views, with ongoing investments to enhance monetization [38][41] - Focus on expanding subscription services, with 80 million subscribers for YouTube Music Premium [38] - **NFL Sunday Ticket**: - Anticipated attractive ROI from the NFL Sunday Ticket deal, with opportunities for subscriber growth and exclusive content [43] Cloud Services - **Google Cloud Growth**: - Cloud segment growth at 37% in 2022, with strategic differentiation through AI infrastructure and data analytics [46][47] - Introduction of Vertex AI and Contact Center AI to enhance customer operations [48] Cost Management and Capital Expenditure - **Cost Structure Focus**: - Commitment to ensuring revenue growth exceeds expense growth, with multiple work streams in place [30][31] - **CapEx for 2023**: - Expected to be flat compared to 2022, with increased investment in technical infrastructure to support AI and cloud initiatives [29] Capital Allocation - **Share Repurchase Program**: - $60 billion in share repurchases in 2022, viewed as the most effective return of capital to shareholders [49][50] Other Notable Insights - **AI's Role Across Services**: - AI applications extend across all Google services, enhancing user experience and content creation [15][16][41] - **Long-term Vision**: - Alphabet is focused on integrating AI into its hardware ecosystem, particularly with the Pixel family [34][35] This summary encapsulates the key insights and strategic directions discussed during the conference call, highlighting Alphabet's commitment to AI, advertising, and sustainable growth.

Summary of Applied Materials, Inc. Conference Call Company Overview - **Company**: Applied Materials, Inc. (NASDAQ: AMAT) - **Industry**: Semiconductor Equipment Key Points and Arguments Industry Importance - The semiconductor industry is recognized as crucial, supported by government programs and incentives [3][4] - Applied Materials focuses on innovation in transistors and semiconductors, with a long-term vision of pushing technology 5 to 8 years ahead [3][4] Financial Performance - Recent earnings showed a rise in backlog, attributed to strong demand in ICAPs (IoT, communications, automotive, power, sensors) markets, which grew quickly last year and are accelerating this year [6][7] - The backlog increased due to supply chain issues, with expectations to normalize as supply chains improve [8][10] Market Dynamics - Memory market is currently weak, with declining prices and rising inventories, but there is confidence in a potential recovery due to ongoing demand for memory in AI and machine learning applications [36][38] - ICAPs are expected to sustain growth driven by electric vehicles, renewable energy, and sensor markets, with forecasts indicating 6% to 9% growth across various segments [33][35] Supply Chain Challenges - Supply chain issues have been exacerbated by COVID-19, leading to delays in fulfilling orders, but improvements are anticipated in the coming quarters [8][11] - The company is managing a complex supply chain with thousands of components, making it challenging to keep pace with industry growth [10][11] Technological Innovations - The Sculpta tool was highlighted as a significant innovation, allowing customers to modify silicon patterns, which can enhance efficiency and yield [26][28] - Applied Materials is well-positioned to benefit from advancements in gate-all-around transistors and other materials engineering innovations [25][27] China Market Impact - The company anticipates a mitigated impact of $1.5 billion to $2 billion from export controls affecting demand from China, with 17% of Q1 revenues coming from the region [19][20] - Chinese companies are investing in mature nodes to build their own foundry businesses, indicating ongoing demand despite regulatory challenges [20][21] Services Business Growth - The services segment is expected to grow, driven by an increasing installed base of tools and a focus on providing better uptime and yield for customers [39][41] - Despite export controls impacting services revenue, the company remains optimistic about growth prospects in this area [46][48] Future Outlook - Applied Materials forecasts a $1 trillion semiconductor industry by 2030, with expectations to grow faster than the overall industry due to increasing complexity in equipment and materials engineering innovations [16][17] - The company is cautious about 2024 forecasts but expects a recovery in memory and stable demand in ICAPs [17][18] Additional Important Insights - The company emphasizes a collaborative approach with customers to drive innovation and address future technology needs [24][30] - The services business is seen as a stable cash flow source, with subscription agreements contributing to financial stability [41][42]

Marvell Technology, Inc. (NASDAQ:MRVL) Morgan Stanley Technology, Media and Telecom Conference Transcript March 8, 2023 12:50 PM ET Executives Matt Murphy - President and CEO Willem Meintjes - Chief Financial Officer Ashish Saran - Senior Vice President, Investor Relations Analysts Joe Moore -Morgan Stanley Joe Moore Great. Thanks, everyone. I am Joe Moore from the Morgan Stanley Semiconductor team. Happy to have the management team of Marvell here with us. Matt Murphy; and Willem Meintjes; and Ashish Saran ...

Okta, Inc. (NASDAQ:OKTA) KeyBanc 2023 Emerging Technology Summit March 8, 2023 ET Company Participants Brett Tighe - CFO Conference Call Participants Eric Heath - KeyBanc Capital Markets Unidentified Company Representative Great. Let's get started. Eric Heath I'm Eric Heath of the enterprise software team here at KeyBanc. Pleasure to have Brett Tighe here with us with Okta and we also have Dave Gennarelli from IR here as well. Question-and-Answer Session Q - Eric Heath So Brett, let's just jump right into i ...

EPR Properties (NYSE:EPR) Citi’s 2023 Global Property CEO Conference Call March 8, 2023 9:15 AM ET Company Participants Greg Silvers - Chief Executive Officer Mark Peterson - Chief Financial Officer Greg Zimmerman - Chief Investment Officer Conference Call Participants Eric Wolf - Citi Research Eric Wolf Alright. Good morning, everyone and welcome to the 9:15 a.m. session and Citi’s 2023 Global Property CEO Conference. I am Eric Wolf with Citi Research and we are pleased to have with us EPR Properties and C ...

Summary of Waste Management, Inc. Conference Call Company Overview - Waste Management, Inc. (NYSE: WM) is the largest solid waste operator in North America, with a strong franchise and robust collection operations [2][5] Core Business Focus - The company has three strategic focal points: 1. **Pricing**: Emphasized as a key focus, second only to safety. The company has seen significant value from pricing strategies over the past few years [5] 2. **Cost Control**: Aimed at permanent reductions in operating costs and SG&A, particularly through labor management due to a shrinking labor pool [6] 3. **Renewable Natural Gas (RNG) and Recycling**: Plans to discuss renewable natural gas plants and recycling facility upgrades in detail during an upcoming Investor Day [6] Financial Performance and Projections - The company projects EBITDA growth from 2019 to 2026/2027 to be between 75% to nearly 100%, which is notable for a mature industry [6][7] - Historical EBITDA growth from 2019 to 2022 exceeded the previously projected range of 5% to 7% [7][46] Inflation and Pricing Strategy - The company faced challenges in 2022 due to rapid inflation, with reported inflation peaking at 9.5%. Labor costs increased significantly, adding $120 million to expenses [10][11] - Approximately 40% of revenue is tied to contracts with a 12-month look-back for pricing adjustments, which delayed the benefits of price increases until 2023 [17][18] Labor and Automation - The labor pool is shrinking, leading to increased turnover rates, which have risen from 15%-20% a decade ago to 20%-25% currently [12] - The company plans to reduce 5,000 to 7,000 roles through automation and technology integration, enhancing efficiency and safety [13][14] Market Position and Volume Growth - The company anticipates flat volume growth in 2023 but remains optimistic about long-term growth due to market share gains from smaller competitors facing labor challenges [29][30] - The business is described as price inelastic, meaning customers are not highly sensitive to price changes, allowing for potential price increases without significant loss of volume [33][34] Green Capital Expenditures (CapEx) - Waste Management is investing $1 billion in recycling, focusing on upgrading facilities with advanced technology to increase capacity and improve material quality [35][36] - The company expects $240 million in EBITDA from recycling upgrades by 2026, with payback periods of 5-6 years [38] Renewable Natural Gas (RNG) Strategy - The company plans to build 20 RNG plants, expecting to generate $500 million in EBITDA by 2026 [27][44] - Waste Management has a competitive advantage due to its 75% natural gas fleet, allowing for better generation of valuable D3 RIN credits [40][41] Investment Tax Credits - The company is looking to capitalize on investment tax credits available for RNG investments, with potential credits estimated around $300 million [47] Conclusion - Waste Management is positioned for significant growth through strategic pricing, cost control, and investments in green technologies, with a clear path to increasing EBITDA and market share in the coming years [46]

T-Mobile US, Inc. (NASDAQ:TMUS) Morgan Stanley Technology, Media & Telecom Conference March 7, 2023 6:55 PM ET Company Participants Neville Ray - President of Technology Conference Call Participants Simon Flannery - Morgan Stanley Simon Flannery All right. Good afternoon, everybody. It's my great pleasure to welcome back Neville Ray, President of Technology at T-Mobile. We're delighted to have you here, but we're also sad because you've announced your retirement, and we'll get into that. But thank you f ...

NVIDIA Corporation (NASDAQ:NVDA) Cowen 43rd Annual Healthcare Conference March 7, 2023 2:10 PM ET Company Participants Kimberly Powell - Vice President, Healthcare Conference Call Participants Matt Ramsay - Cowen Matt Ramsay Anyway thank you for coming and welcome to what I think should be a really exciting and maybe different type of session than you guys are used to in. My name is Matt Ramsay. I lead the semiconductor research practice at Cowen. And I guess we'll start by addressing the elephant in the ro ...

ON Semiconductor Corporation Conference Call Summary Company Overview - **Company**: ON Semiconductor Corporation (NASDAQ: ON) - **Date**: March 7, 2023 - **Participants**: Hassane El-Khoury (President and CEO), Thad Trent (CFO), Joe Moore (Morgan Stanley) Industry Dynamics - **Automotive Market**: - Strong performance in the automotive sector driven by megatrends such as electrification and increased content growth in vehicles, particularly in Level 2+ autonomy and electric vehicles (EVs) [4][12] - Sustained strength in automotive is not tied to the Seasonally Adjusted Annual Rate (SAAR) but rather to the penetration of these trends into the general vehicle population [4] - **Consumer and Compute Markets**: - Notable softness observed since Q2 2022, leading to proactive management of utilization rates [4][5] - **Industrial Market**: - Softness noted in consumer-related industrial sectors, while core industrial segments like energy infrastructure and storage showed significant growth, ending the year with a 75% growth from 2021 [5] Strategic Business Decisions - **Exit Strategy**: - The company has exited $294 million in businesses with less sustainable profit pools, with a commitment to continue this strategy despite market conditions [6][8] - The exit strategy is market-dependent, with an acceleration in exiting certain businesses due to softness in consumer and compute markets [8][9] - **Long-term Supply Agreements (LTSA)**: - Over $16.5 billion in long-term supply agreements secured, providing visibility and stability in revenue [17][22] - These agreements allow for better capital investment decisions based on customer commitments over multiple years [19][20] Market Opportunities - **ADAS and Image Sensors**: - Growth in Advanced Driver Assistance Systems (ADAS) driven by increased vehicle content and camera usage, with expectations of doubling the number of cameras in vehicles over the next five years [31][32] - **Silicon Carbide (SiC)**: - The company is well-positioned in the SiC market, leveraging decades of expertise and investment in technology and packaging [34][36] - Anticipated revenue of $1 billion from SiC, with strong customer demand and successful qualifications with major automotive manufacturers [34][48] Financial Outlook - **Gross Margins**: - 2023 is viewed as a transition year with expected headwinds from SiC start-up expenses and the East Fishkill fab acquisition, but margins are projected to stabilize at or above corporate averages by year-end [57][58] - The company anticipates a gross margin range of 48% to 50% in the long term, with additional tailwinds from exiting subscale fabs and ramping new products [58] Key Takeaways - The automotive sector remains a stronghold for ON Semiconductor, with significant growth opportunities in ADAS and SiC technologies - The proactive management of business exits and inventory levels positions the company favorably for future growth - Long-term supply agreements provide a solid foundation for revenue stability and capital investment planning - The company is navigating current market softness while maintaining a focus on sustainable profit pools and margin improvement strategies